Albania is the strategic focus for Bankers' plans for the future, providing a solid asset base of production that will translate into growth in production and reserves. We operate in the Patos Marinza field, located east of the city of Fier in south central Albania. This 44,000-acre heavy oil field is the largest onshore oil field in continental Europe with 2 billion barrels of original oil in place.

We hold a 25-year license under an existing agreement with state-controlled Albpetrol Sh.A and the National Petroleum Agency of Albania, and we have an option to renew for additional five-year terms. Bankers has a strong management team and a focused strategy for growth both from primary recovery and accessing other opportunities to increase field recovery. Since we took over operations in June 2004, production has increased from 600 barrels of oil per day (bopd) to approximately 5,800 bopd in June 2008.

In early 2008, the Company created a three-year plan for its Albanian assets that entails increased capital expenditures for vertical and horizontal infill drilling, as well as the initiation of waterflood development and thermal programs, to substantially increase production and reserves in 2008 and beyond. The successful execution of these plans is expected to achieve a target field production of 20,000 bopd by the end of 2010.

Bankers also holds full rights to the Kucova oilfield in Albania, which has in excess of 490 million barrels of original-oil-in-place. Bankers will be focused on creating a plan of development for this field, incorporating many of the extraction techniques utilized in the Patos Marinza field.

Our Albanian assets have provided value to our shareholders and to the development of Albania, and will continue to do so in the future. Since June 2004, we have invested over US$140 million in the development of the field, helping to improve local environmental, health and safety standards, as well as benefiting Albania's economy.
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Sky Petroleum has been granted exclusive rights to three exploration blocks totaling approximately 5,000 km2 (1.2 million acres), representing roughly 20% of the land mass of Albania. In addition to the exploration rights, the company will also have access to more than 1,200 km of 2-D seismic data. Previous work on the blocks have identified 10 prospects or exploration leads covering approximately 435 km2 and believed to contain up to 900 million barrels of oil equivalent of recoverable hydrocarbons from the proven deep carbonate play trend.

Albania is a proven hydrocarbon producing region with earliest known bitumen production dating all the way back to the Roman Empire. Modern exploration began in the early 1900s. The Patmos  Marinza and Kucova heavy oilfields are among the largest oilfields in Europe. To date, more than 150 million barrels have been produced. Ultimate recovery may well reach into the billion barrel range. Exploration of the deep carbonate structures began in the 1960s. To date there have been ten significant field discoveries in the carbonates and deep clastics.

Albania also has a well developed petroleum infrastructure with three commercial refineries as well as modern port facilities located on the Adriatic Sea in close proximity to the major European markets. Currently all of Albanias production is consumed in the local market or shipped to Italy, 50 km to the west. There is also a well developed road system to facilitate access to drill sites. Natural gas infrastructure is currently being expanded. In addition to local markets, Albania sits in the cross roads of several planned major gas pipeline projects from the Black Sea region to Western Europe.

The Trans Adriatic Pipeline will transport gas via Greece and Albania and across the Adriatic Sea to Italys southern Puglia region and further to Western Europe. The project is aimed at enhancing security of supply as well as diversification of gas supplies for the European markets.
TAP will open a new so-called Southern Gas Corridor to Europe and market outlet for natural gas from the Caspian Sea and Middle East regions. The project is designed to expand transportation capacity from 10 to 20 bcm per year depending on throughput.
The TAP project also envisages the development of natural gas storage facilities in Albania to further ensure security of supply during operational interruptions of gas deliveries.

ARMO Oil Refinery is one of the two oil refiners in Albania. It owns oil refineries at Ballsh and Fier, a research center, 11 depots, a small network of fuel stations, and the Vlorė Terminal located in the south coast on Adriatic sea. The Ballsh refinery is the largest refinery in Albania and has a designed capacity of 1 million tonnes per year. Fier refinery has a capacity of 500 thousand tonnes per year and is designed mainly to produce bitumen.
In 2008, 85% of shares was sold to the U.S-Swiss consortium Refinery Associates of Texas, Anika Enterprises SA and Mercuria Energy Group for 128.7 million.Other bids were made by Petrofac, Penta Investments and Vitol.

The new coastal terminal fills a lack of infrastructures and allows Customers to supply both the Albanian market and the neighbouring Countries through the European Corridor VIII (rail plus road) also taking advantage of the favourable location of the Bay of Vlora, located at the entrance of the Adriatic Sea and very close to the main Italian and Greek refineries (distances from Vlora in nautical miles: 125 to Taranto, 275 to Falconara, 290 to Augusta / Priolo / Milazzo, 340 to Gela, 480 to Corinth, 570 to Sarroch).

Under its Petroleum Agreements with Albania’s National Petroleum Agency (“AKBN”) and with Albpetrol, the Albanian State Exploration and Production Company, Stream is in the process of evaluating and redeveloping its three onshore heavy oil producing fields (Cakran-Mollaj, Ballsh-Hekal and Gorisht-Kocul) and one onshore producing gas field (Delvina). A well rehabilitation program is ongoing with a scope to understand well behavior and define appropriate methods to enhance and increase crude oil production.http://streamoilandgas.com/propertie..._gas_projects/

Quote:

Ballsh-Hekal (Current) (crude oil) 10-12 API
This is a mature carbonate field with 212 existing wells, 81of which are producing. Well depths range from 450 to 1700 metres. Field production is 550 bop/d, of which 79 bop/d are attributable to Stream as February 28, 2009.

The Company is conducting a staged rehabilitation program on 16 producing wells in the field and has taken over another eight for reactivation. Production is in the process of being optimized by surface upgrades.

Quote:

Cakran-Mollaj (Current) (crude oil) 25 API
This is the deepest of the carbonate oil fields at 2650-3700m. There are 65 existing wells, of which 27 are actively producing. Management’s goal for the project is to increase production three to five fold by using modern technology.

The Company performed flow improvement tests and optimized performance on two wells. Infrastructure upgrades are in progress. The Company has reserved a rig, subject to fund raising, in order start a staged rehabilitation program on the 14 producing wells that operate in the field and reactivate another taken over recently. Field production is 650 bop/d, of which 76 bop/d are attributable to Stream as at February 28, 2009.

In addition to the rehabilitation program on 14 producing wells, the Company has take over another 20 wells for reactivation.

Fracture monitoring is underway on key wells. The Company engaged Seismotech in order to deploy equipment and monitor microfracing.

For 2009 plans include full take-over of the remaining field and the corresponding gathering and processing stations.

Quote:

Gorisht-Kocul (Current) (crude oil) 15 API
There are 295 existing wells, of which 135 are actively producing. This carbonate field has excellent potential to increase production. Well depths range from 400-1250m. Field production is around 925 bop/d, of which 70 bop/d are attributable to Stream as of February 28, 2009.

Management selected all wells for work-over. Currently, the focus is on production pump upgrades and current average production has been low because of pump work. Site preparation is complete and we are waiting for a new pump. Basic work-over has been complete on Go-255.

The Company plans to take -over more wells in the Q2 2009 in order to continue work over and enhance production.

The Company is running a staged rehabilitation program on 13 producing wells in the field and has taken over another 14 for reactivation.

Petromanas Energy Inc. ("Petromanas" or the "Company") is an international oil and gas company focused on the exploration and development of its assets in Albania that possess world-class resource potential. The Company's shares are listed on the TSX Venture Exchange under the symbol "PMI".

Through its wholly-owned subsidiary, Petromanas holds three Production Sharing Contracts ("PSCs") with the Albanian government. Under the terms of the PSCs, Petromanas has a 100% working interest in six onshore blocks (Blocks A, B, D, E, 2 & 3) that comprise more than 1.7 million acres across Albania's Berati thrust belt.

Petromanas' acreage lies within a proven hydrocarbon system. There are nine existing oil fields within Blocks 2 & 3, including the largest onshore oil field in Europe, Patos-Marinza, discovered in 1928 and currently operated by Bankers Petroleum Ltd. The existing fields are excluded from the area covered by Petromanas' PSCs.

Petromanas has merged historic and reprocessed 2D seismic with newly acquired 2D seismic and well data to develop a comprehensive picture of the geological trend and associated structures. To-date the Company has identified 14 conventional exploration prospects targeting sub-thrust hydrocarbon accumulations.

In 2001, Occidental Petroleum drilled the Shpiragu-1 well on Block 2 and penetrated a 600 meter column of light oil proving the geological model of the existence of a sub-thrust related structure under the Berati thrust belt. Shpiragu-1 produced intermittently up to 400 barrels per day of light, 37° degree API oil, before the well test was terminated due to the choke freezing from hydrates which caused flow problems.

Gustavson Associates LLC ("Gustavson") of Boulder, Colorado prepared Resource and Economic Evaluation Reports (dated December 15, 2009) according to Canadian NI 51-101 standards on all six of Petromanas' Albanian Blocks. Based on the reports prepared by Gustavson, the 14 prospects identified on Blocks A, B, D, E, 2 & 3 are estimated to contain significant prospective oil resource.

The Company is planning to shoot 105 kilometers of 2D seismic on Block E and 125 kilometers of 2D seismic on Blocks 2 & 3 prior the end of the year. Petromanas will process and interpret the new seismic and continue to mature its drillable exploration prospect inventory. A drilling program is expected to commence in 2011.

Albania has hired Washington-based law firm Patton Boggs to advise the sale of oil firm Albpetrol in a contract worth 25 million leks ($244,000/183,000 euro), the energy ministry in Tirana said, SeeNews reported.

Patton Boggs will make due diligence on Albpetrol within six months and will propose a privatisation method, the energy ministry said late on Tuesday after assigning the company the consultancy deal.

The law firm will also be in charge of international marketing during the privatisation of one of Albania's key assets.

Albpetrol posted a profit of $2.08 million through April this year on sales of $26.32 million. The company produced 50,328 tonnes of crude oil between January and April, 9.6% above plan. Its total crude oil production through April, which includes crude oil delivered by Canadian oil and gas companies Bankers Petroleum and Stream Oil and Gas in the form of overriding royalty interest, reached 78,285 tonnes, beating the four-month plan by 2.3%.

Rezart Taēi was born in Albania on June 6, 1971. Since 2002, he is the CEO of Taēi Oil International. Taēi Oil International has been operating in the local market for over 9 years, leading it with an over 50% market share. The company's Storage capacity reaches 37.000m3, with terminals placed in two strategic locations near the Adriatic coast, Shėngjin and Porto Romano. Its strategy consists in developing the domestic and export market, creating a network of major suppliers and reducing the supply through second wholesalers, in order to provide services to the main domestic and foreign consumers/ users. This activity is carried out through an active sale promotion and an efficient marketing strategy.

The company’s mission is aimed at reaching the final consumer, through vertical integration through the development of the retail network. This allows the improvement of the overall quality of the business and service to the client/ user.
Mr.Taēi is also CEO of KUID Sh.p.k. , which operates through roughly 100 retail stations all over Albania. KUID Sh.p.k plays an important role as a leader in this market.

He is also a shareholder of ANIKA ENTERPRISES S.A., a Swiss company, operating as trading company of Taēi Oil and Armo Sh.a. for the supply of crude oil and oil-based products. With its presence in the market for more than 9 years, this company answers to all the international standards in terms of efficiency, quality of service and reputation in the overall trading companies in Geneva and Albania.
Mr.Taēi is also CEO of ARMO Sh.a., an important representative of the Albanian oil industry.
ARMO is the only refinery in Albania that owns the rights in refining crude oil. Moreover it owns the rights for distribution, marketing and trade of all kinds of sub-products of oil and gas.
ARMO satisfies the demand for almost 50% of oil products in the country, as well as a part of the demand in the Balkans region such as Kosovo, Macedonia, Serbia and Montenegro.

San Leon holds a 75% participating interest in the Durresi Block, offshore Albania. The licence area, which covers 4,200 square kilometers, contains the A4-1X gas/condensate discovery and several undrilled oil and gas prospects.

San Leon will acquire over 300 km2 of 3D seismic data during the remainder of Q1 2011 over the A4-1X field which was discovered in 1993. The discovery, 30 km off the southern coast of Albania, indicated approximately 38 mmbbls of circa 51° API condensate and 150 BCF of gas.

The 3D seismic programme will evaluate the A4-1X discovery as well as prepare for a 2012 appraisal drilling programme in the undeveloped gas condensate field.

San Leon is also exploring significant potential multiple plays adjacent to A4-1X targeting both oil and gas. This underexplored, highly prospective, area is situated on the proven Apulian Margin, which extends from Italy into Albania. The licence is located along geological trend from a number of nearby Tertiary gas and Mesozoic/Tertiary oil discoveries in the Italian Adriatic to the northwest and is also along trend with oil and gas discoveries in the onshore Albanian part of the basin. Southern Albania contains a highly prolific petroleum system including one of the largest onshore oil accumulations in Europe, the Patos-Marinza field, which is estimated to contain up to 5.7 billion barrels of OOIP.

Albania is one of the few countries internationally that avoided recession in 2009 and it is expected to achieve a high growth rate of more than 6% in 2011.

The Albanian Government Council of Ministers approved the Durresi Block Licence Petroleum Complimentary Agreement for San Leon in February 2011. Beach Energy Limited holds the remaining 25% interest in the licence. Beach Energy has agreed to pay 50% of the costs, rather than their 25% working interest requirement, for the upcoming 3D seismic programme in exchange for an option which, if exercised, will allow them to hold a 50% working interest in the licence going forward.

ESO is a new company in the Albanian market of hydrocarbures. With a clear mission and vision to be the leading company in terms of standards applied in the market, we aim to win the trust of the Albanian consumer, who will not find it very difficult to differentiate between our company and the others operating in this in Albania. We offer to the market new standards that were almost absent to the consumer. The quality is a "European Standard" product.

We offer a broad line of products for the domestic market. Our products are ensured and implemented with strict standards, imported from well known companies such as JETOIL.

KASTRATI SH.A. KASTRATI SH.P.K are a leading independent privately owned petroleum group of companies, based in Albania. The two companies are part of the KASTRATI Group of companies. KASTRATI Group operates a network of more than 45 fuel service stations in Albania. They supply a broad range of products to both consumers and industrial customers.

Tea Construction & Petrol is one the largest companies involved in the oil industry in Albania and has a long experience in the field of oil trade and derivatives, Euro Diesel, Gas, Benzene and other oil products.

The activity of the company is based on Albanian legislation and international laws, and the main scope of our work is the importation of oil, gasoline and industrial gas. These products are sold all over the territory of Albania, Macedonia and Kosova. The company also sells products distillated by ARMO refineries, the only Albanian refineries based in the Fier and Ballsh area. The processed derivatives such as bitumen, solar, etc are exported to other countries in the region such as Kosova and Macedonia. This year we plan to export to these countries more than 80.000 metric tons of various products.

The company owns two large deposit complexes with a capacity of 6 thousand tons each, located in Kashar, Tirana and Shengjin Port, Lezhe in which the products are stored. We transport the products to the Kashar deposit by heavy vehicles, while in Shengjin the process is carried out through the pipelines installed by the Shengjin Port Authority. We also have a substantial distribution network throughout the region and work with our reliable partners.

The company also owns several tankers with a capacity of 4 thousand tons each, in the city of Lushnja, where we store products refined by ARMO. It is estimated that today our company supplies approximately 12 % to 15% of the market with euro diesel, gasoil, benzene, etc. The company has won many significant public tenders announced by the government and the number of our clients continues to rise due to the quality service offered by our team.

Tea Construction & Petrol owns a considerable number of real estate assets. Led by the President of the company, Mr. Adrian Xhillari, our administrative team is made of around 40 people coming from different fields and walks of life, such as engineers, economists, marketing specialists, lawyers, etc., and our ground staff includes up to 300 people.